De Unie, in your interest

Your collective labor agreement and industry

Holiday pay, it's almost that time again

April 09, 2020

Most people receive holiday pay in May or June. The law stipulates that holiday pay is calculated over the period 1 June to 31 May. A deviation from this period may be stated in your collective labor agreement, company regulations or employment contract. In this blog we will discuss the calculation of the holiday pay, exceptions and how holiday pay works during the corona outbreak.

How is my holiday pay calculated?

Each year you receive at least 8% of your gross annual salary in holiday allowance. Sometimes you get more. The exact percentage of holiday pay you will receive is stated in your employment contract, company regulations or collective labor agreement. In addition to the standard hours that you work, payments for additional work, overtime and fixed allowances also count. This concerns allowances that are a fixed part of your wages. Think of irregularity allowance and commission.

Any profit distribution and year-end bonus are not included in the calculation for the holiday pay.

Are you ill? Then the accrual of your holiday pay continues as usual. Were your wages lower - for example 70% - during your period of illness? Then you accrue holiday pay over that lower wage.

Holiday pay and exceptions

Is your gross monthly salary higher than three times the legal minimum wage? Then your employer may charge less or even no holiday allowance on the amount that is above this. This must have been agreed in your employment contract or collective labor agreement.

When will I receive holiday pay?

  • Usually, your employer pays the holiday pay in full in May or June, but a monthly payment may also apply. You can find out when you will receive holiday pay in your employment contract or collective labor agreement.
  • Has nothing been agreed in writing? Then your employer will pay the holiday pay by June at the latest.
  • Are you leaving employment and have you accrued holiday pay that has not yet been paid out? Then your employer will pay this in proportion to the year with the final settlement.

Is my holiday allowance received correct?

Your employer must specify the holiday pay separately on the pay slip. This makes it easy to check whether the amount of your holiday pay is correct.

Corona and holiday pay: what about?

Did your employer apply for a NOW scheme because of the corona outbreak? Then your employer will also receive compensation with the subsidy for the accrual of the holiday allowance for the months of March, April and May - the months for which the subsidy for the wage bill is awarded.

The remainder of the holiday allowance to which you are entitled is not subsidized, but is of course due to you. Discuss this with your employer.

Questions about corona and your work or about your holiday pay?

Does your employer pay your holiday pay too late or not? Or is the amount too low? Or do you have other questions about your holiday pay or corona and your work? Here we answer all questions about corona and your work. Please do not hesitate to contact us. We can be reached by telephone on 0345-851 963, but you can also email us via sc@unie.nl.

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